DOT's FAA awards $17.8M for PC-based RVR system to Vaisala Inc. over 7 years
Contract Overview
Contract Amount: $17,861,138 ($17.9M)
Contractor: Vaisala Inc.
Awarding Agency: Department of Transportation
Start Date: 2005-07-20
End Date: 2012-12-31
Contract Duration: 2,721 days
Daily Burn Rate: $6.6K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 3
Pricing Type: FIRM FIXED PRICE
Sector: Transportation
Official Description: BASIC PC-BASED RVR SYSTEM IAW SECTION C.3.1
Place of Performance
Location: WOBURN, MIDDLESEX County, MASSACHUSETTS, 01801
Plain-Language Summary
Department of Transportation obligated $17.9 million to VAISALA INC. for work described as: BASIC PC-BASED RVR SYSTEM IAW SECTION C.3.1 Key points: 1. Contract awarded to Vaisala Inc. for a Basic PC-Based RVR System. 2. The contract spans over 7 years, indicating a long-term need. 3. Full and open competition was utilized, suggesting a competitive bidding process. 4. The total award amount is $17,861,138.
Value Assessment
Rating: fair
The contract value of $17.8M over 7 years averages approximately $2.55M annually. Without specific unit details or comparable contract data, it's difficult to definitively assess pricing against similar systems. However, the duration suggests a significant investment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, which typically allows for the widest possible range of bidders and can lead to better price discovery. The use of this method suggests the agency sought competitive proposals to ensure fair pricing.
Taxpayer Impact: The use of full and open competition aims to ensure taxpayer funds are used efficiently by fostering a competitive environment that drives down costs.
Public Impact
Enhances aviation safety by providing crucial runway visibility data. Supports air traffic control operations at airports. Modernizes weather monitoring systems within the FAA.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Long contract duration (7 years) may limit flexibility for future technological advancements.
- Lack of specific per-unit cost data makes detailed value assessment challenging.
Positive Signals
- Awarded under full and open competition, promoting competitive pricing.
- Addresses a critical safety and operational need for the FAA.
Sector Analysis
The Federal Aviation Administration (FAA) operates within the Transportation sector, heavily reliant on IT and specialized equipment for air traffic management and safety. Spending in this area often involves significant, long-term investments in complex systems.
Small Business Impact
The data indicates the contract was not set aside for small businesses and the awardee, Vaisala Inc., is likely a large corporation. There is no indication of small business participation in this specific award.
Oversight & Accountability
The contract was awarded under full and open competition, suggesting a structured procurement process. Further oversight would involve monitoring contract performance and adherence to the fixed-price terms.
Related Government Programs
- Electrical Contractors and Other Wiring Installation Contractors
- Department of Transportation Contracting
- Federal Aviation Administration Programs
Risk Flags
- Long-term contract duration
- Potential for technology obsolescence
- Dependence on a single vendor for an extended period
- Limited insight into specific performance metrics and oversight details
Tags
electrical-contractors-and-other-wiring-, department-of-transportation, ma, dca, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Transportation awarded $17.9 million to VAISALA INC.. BASIC PC-BASED RVR SYSTEM IAW SECTION C.3.1
Who is the contractor on this award?
The obligated recipient is VAISALA INC..
Which agency awarded this contract?
Awarding agency: Department of Transportation (Federal Aviation Administration).
What is the total obligated amount?
The obligated amount is $17.9 million.
What is the period of performance?
Start: 2005-07-20. End: 2012-12-31.
What is the specific functionality and expected lifespan of the 'BASIC PC-BASED RVR SYSTEM' to justify the $17.8M investment over 7 years?
The 'BASIC PC-BASED RVR SYSTEM' likely refers to a Runway Visual Range system that provides pilots and air traffic controllers with real-time information about visibility conditions on the runway. The $17.8M investment over 7 years suggests a comprehensive deployment, maintenance, and potential upgrade plan for these critical safety systems across multiple locations, ensuring operational continuity and compliance with aviation standards.
How did the 'full and open competition' process ensure the best value and mitigate risks associated with a 7-year contract for this technology?
Full and open competition allows multiple vendors to bid, theoretically driving down prices and encouraging innovation. For a 7-year contract, this process should have included rigorous evaluation criteria beyond just price, assessing vendor stability, technological roadmap, and support capabilities to mitigate risks of obsolescence or performance degradation over the contract's lifespan.
What are the key performance indicators (KPIs) and oversight mechanisms in place to ensure the effectiveness and reliability of the RVR system throughout the contract period?
Effective oversight would involve clearly defined KPIs such as system uptime, accuracy of visibility readings, response time for alerts, and maintenance effectiveness. Regular performance reviews, site inspections, and user feedback mechanisms would be crucial to ensure the RVR system consistently meets operational and safety requirements throughout its 7-year deployment.
Industry Classification
NAICS: Construction › Building Equipment Contractors › Electrical Contractors and Other Wiring Installation Contractors
Product/Service Code: COMM/DETECT/COHERENT RADIATION
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Offers Received: 3
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Vaisala Inc (UEI: 368476362)
Address: 194 SOUTH TAYLOR AVE, LOUISVILLE, CO, 02
Business Categories: Category Business, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $32,528,051
Exercised Options: $17,861,138
Current Obligation: $17,861,138
Timeline
Start Date: 2005-07-20
Current End Date: 2012-12-31
Potential End Date: 2012-12-31 00:00:00
Last Modified: 2013-09-20
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